Visa recently announced that its mobile wallet credit and debit card payment system will formally launch in both the U.S. and Canada later this year, according to a report from the tech news site Computer World. With this system in place, consumers who have a Visa-branded card will be able to load their payment information onto their smartphone, as long as it has near-field communication embedded in it.
However, the problem for Visa—and all other companies hopeful of launching mobile payment systems within the next year—is that only one phone in the U.S. currently has NFC capabilities, the report said. In addition, businesses will need to be encouraged to install NFC point of sale terminals, as very few currently have the technology in place.
Fortunately for Visa, it is the world’s largest payment processing network by far, with 1.8 billion cards bearing its logo in circulation around the world. This gives it ample clout to foster acceptance of the system among both consumers and industry, the report said.
Mobile credit card payments are expected to become massively popular within a few years, and analysts have conservatively predicted its annual value to exceed $44 billion by 2015.